Business
Income Tax Act: Lawyers Want Govt To Provide Jobs
Some Lagos-based lawyers have advised government to provide jobs for the citizenry before implementing the Personal Income Tax Act.
The lawyers, who spoke with our correspondent on Wednesday, added that unemployment was a contributory factor to tax evasion.
The Attorney-General of the Federation and Justice Minister, Mr Mohammed Adoke, granted the Lagos State Government the executive fiat to prosecute tax offenders under the Personal Income Tax Act.
Mr Spurgeon Ataene, a lawyer, said that the incidence of tax evasion was recurrent, as most individuals were jobless and thus had no source of income.
He said that while the executive fiat granted to the Lagos government was good, there must be adequate provision for job opportunities which would be taxed in the long run.
He urged the government to make ample provision for the creation of job opportunities, so as to fully checkmate tax evasion.
Mr Rotimi Okeowo said that tax evasion was on the increase due to the fact that most individuals, who were eligible to pay personal income tax, claimed not to have good jobs.
He said that a lot of the taxable adults were either self-employed, or were employed on poor salaries, which, according to them, is insufficient to be taxed.
Another lawyer, Mr Emeka Orji, said that the incidence of tax evasion would be reduced if young graduates could be employed.
Orji said it was futile to attempt to tax hawkers, as they could easily evade taxation.
He said that if jobs were provided, no matter the level, it would serve as a good means of combatting tax evasion.
Mrs Geraldine Okungbowa said that personal income tax was largely a tax on income of an individual and so should be paid as soon as it was earned.
According to her, most individuals do not disclose their true earnings, thereby making it difficult to compute their taxes.
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